5 Responses to Highlights of PTA Report On State of Telecom Industry In Pakistan 2008-09

Considering cellular revenue of 212 billion and a user base of 94.3 million its quite astonishing to find that even with 98:2 ratio between pre-pay and post pay customers, on an average, every user spent PKR 2,248 in 2008-9.

Interestingly cellular companies are investing 45.28% of their revenue (PKR 1,018 per user) back into their infrastructure even though 90% of the country is covered… since this investment has been dropped by 48% and the revenue jumped 16%, cellular companies must have been investing quite ambitiously in the past.

PKR 112 billion tax from telecom sector means PKR 659 per person (170m total), which also seems quite high… I wonder where does our average income tax per person stands…

The 48% drop in investment is not good, it should improve by next year. The interesting point that still the 98% of the total subscriber connect on pre-paid. The growth in revenue is appreciating, one must also take into consideration that from next year onwards, companies will have to pay 0.5% of the revenues to the R&D funds.